Bonded warehouses and free zonesLesson 122 of 136
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Bonded warehouses and free zones

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0:00Two options can improve your cash flow or your duty bill.
0:05Bonded warehouses, and free zones.
0:07A bonded warehouse lets you store imported goods with duty payment deferred,
0:13until you actually release them for sale.
0:16That helps cash flow if you import in bulk but sell gradually.
0:20A free zone typically offers reduced duty,
0:24tax incentives or simplified procedures,
0:27for goods that will be processed and re-exported,
0:31rather than sold into the domestic market.
0:35Both options add complexity.
0:37They are generally worth exploring once your import volumes are large enough that
0:43the cash-flow or duty savings clearly outweigh the extra administration.
0:49Cameroon has bonded warehousing and a free-zone regime.
0:54Check current eligibility criteria and implementation details before you build a
0:59business plan around them, since these regimes change over time.
1:05The savings must outweigh the administration.
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